What's the safest way to sell my car? Here's some great help and advice on how to properly and safely sell your car, including valuations, defects, your liability, transferring ownership and why you might need to pay tax on any profits.
- How do I advertise my car for sale?
- How can I get my car's valuation?
- How to I get the best price for my car?
- What are the complications of selling a car?
- Defects and your liability
- Transferring ownership of a car
- Do I pay tax when I sell my car?
1. How do I advertise my car for sale?
You can advertise your car in just a couple of easy steps:
- Sign up here or login instantly using your social account (above)
- Create your advert - It's handy to have some photos of the car ready to upload
- Choose any upgrade options - Upgrades are optional and can help speed-up your sale
- Publish your advert and let buyers contact you! - Most adverts are published instantly.
When you've sold your car don't forget to tell the DVLA.
2. How can I get my car's valuation?
The easiest way to calculate a vehicle's value is to search Selr cars for similar vehicles and see how much they're advertised for. Work out your valuation based on your car's condition, mileage and age, then advertise your vehicle for a price that grabs the attention of buyers.
3. How do I get the best price for my car?
Before you take photographs and create your advert there are a few things you can do to help ensure you get the best price and a quicker sale:
- Wash the car - Clean it up, inside and out before taking photographs and make sure it's clean (again) before anyone comes to view it
- Make a note of any marks, scratches or imperfections on the bodywork, upholstry or within the mechanics (engine) of the car. You can give this information to buyers within your advert to ensure you're 100% clear about the condition of the vehicle
- Get all the paperwork together - The service history, spare key, V5 registration certificate and MOT certificates are all things buyers will want to see
- Keep your phone on and check your emails - If you put a phone number and/or email address in the advert then keep an eye out for enquiries; You don't want to miss them!
4. What are the complications of selling a car?
We try to make selling a car as easy as possible - You create an advert and then buyers can contact you directly with their interest. The usual compplications are:
Finding a buyer - You should get around this by advertising well; with a clear and accurate description, plenty of photographs and by asking for a reasonable price.
Cancelling your insurance and road fund licence (formerly car tax) - You should cancel the inusurance policy once the car has been sold. Remember that as soon as you cancel the insurnace you will no longer be able to legally drive the vehicle on a public highway so make sure the policy is canceled after the car is sold. The new owner will need their own insurance policy to drive the vehicle away.
The same applies for your road fund licence. This will need to be canceled so that the buyer can pay the owed road fund licence themselves.
5. Defects and your liability
In the EU used cars have a statutory warranty according to the system of laws, the so-called "Liability for defects", which lasts for 12 months. As part of the European Union this applies to trade sellers in the UK but are not neccessarily the same for private sellers. We break down the liability below:
As a private seller in the UK you are (in theory) selling a car with the unwritten agreement that it is "sold as seen". This means that unless defects are pointed out by the buyer or seller, or the buyer questions any particular (in which case the seller should answer honestly) then the vehicle is sold without warranty or guarantee.
It is always a good idea to write 2 identicle receipts for the sale. The receipts should state:
- The seller's name and address
- The buyer's name and address
- The registration mark, V5c document number and (where possible) the vehicle identification number (VIN)
- Amount paid for the vehicle
- The words "Sold As Seen", if the vehicle is being sold without warranty.
The buyer and seller should each sign both receipts and each party should keep one copy.
Trade sellers (any business which profits from the sale of motor vehicles in the UK, or anyone who regularly sells cars for profit) are responsible for openly advertising or pointing out defects to any buyer. Used cars are sold by traders in the UK with a minimum term warranty and responsibility for any aspect of the car unless otherwise clearly stated. Road cars sold by any motor trader in the UK should be fit for purpose. If the car is not fit for purpose then the trade seller must clearly advertise that the vehicle is sold as a "trade only sale" which indicates that car is "sold as seen".
6. Transferring ownership of a car
You can transfer the ownership of the car once it has sold. You will need the current V5c document which will currently be in your name.
If you're selling a car to a new owner then the correct part of the document will be filled out with the new owners details and the signature of yourself and the new owner.
It is your responsibility as the seller to send the V5c document off to the DVLA at your earliest convenience, who will then send a new document to the new owner.
All this information is available on the V5c document.
There is more invaluable help and information on selling your car safely on the Saga website.
7. Do I pay tax when I sell my car?
If you are a private seller (and you do not sell more than 3 cars or other road legal vehicles within 1 year) then you do not need to declare the profit from the sale for tax purposes.
If you are a motor trader or are 'privately' selling several vehicles a year then you may be expected to declare profits as tax. Always check and do not assume that you will not be liable to pay tax on the money you make. Contact HMRC for more information.
We recommend that you check with your accountant if you are unsure.
Hassle free, completely free.
We've removed the annoying parts from the online trading of cars, ditching the expense and simplifying the whole process. Advertise a car online today for free and display it to buyers near you and all over the UK. Advertise a car now. It's as quick and easy as you've always wanted it to be.
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